U.S. daily deals online firm Living Social Inc is expected to announce on Thursday it is cutting 400 jobs, representing 9 percent of its workforce, as demand for daily deals and emailed daily discounts dries up, the Wall Street Journal reported, citing a source familiar with the plans.
The Washington-based company’s workforce has increased nearly 10-fold since the beginning of 2010 and it currently employs about 4,500 people worldwide, the Journal said. ()
Retail website Amazon.Com Inc owns a 30 percent stake in Living Social and booked a third-quarter charge of $169 million on the holding.
Living Social declined to comment to Reuters on the Journal report.
Photo: LivingSocial co-founder and Chief Executive Officer (CEO) Tim O’Shaughnessy speaks during the Reuters Global Technology Summit in New York May 19, 2011. REUTERS/Lars Paronen